Finally a bit of good news for the Alberta economy.

Amber Ruddy with the Canadian Federation of Independent Business says the good news is contained in the monthly Business Barometer index.

"For the first time in six months, small business optimism did take a turn for the better," she says. "We did experience some of the lowest lows we've ever seen so it's good to see it picked up a little bit and we're not in the clear yet but we'll take any news we can get."

Ruddy says despite the slight rebound there are still some troubling signs on the horizon with a third of small businesses looking at cutting back on staff and only eleven percent looking to hire.

"We are about 35 points below where a healthy economy should be when it's growing and unfortunately there are still a few indicators that are showing trouble," Ruddy says. "In the next three months 35 per cent of small businesses are looking to cut back on the number of full time staff while only 11 per cent are looking to hire."

She says with the provincial government still looking at increasing the minimum wage, and businesses citing wage costs as a major constraint, the federation is urging the government to reconsider any big bold policy changes until the economy improves.